Congress may need to act quickly if it wants to save the national Children’s Health Insurance Program (CHIP). The program’s funding scheme is set to expire soon and this could leave children throughout the United States without access to health insurance coverage. The program’s current funding will run dry next year, but relatively little has been done to address this issue. The burden of keeping CHIP alive is not for Congress alone, of course.
States must begin working with insurers and forming appropriate budgets to ensure the survival of CHIP
States must begin working with insurance companies to form contracts concerning the coverage they would provide through CHIP. They must also devise budgets that account for the program’s expenses and ensure there is enough funding to keep CHIP alive and well. These efforts are heavily influenced by Congress, however, as a lack of federal support would discourage states from taking steps to ensure the longevity of CHIP.
CHIP has reduce the uninsured rate among minors in the US to 7%
CHIP is designed to expand Medicaid eligibility throughout the United States to millions of minors. The program was first created in 1997 and has since helped cut the rate of uninsured children down to 7% in 15 years. The program offers affordable insurance coverage that parents are unable to find elsewhere, making the program a valuable resource to those that need to insure their children. Proponents of the program suggest that it is a cost effective solution to the insurance issue among children in the U.S.
Some states may be able to support CHIP if Congress does not take action
If funding for CHIP is not reauthorized by September 2015, the program will not be able to accommodate its financial responsibilities. As such, many children may end up losing their health insurance coverage. Some states may be able to support the program themselves, but doing so would be an expensive endeavor and the program’s capabilities may become somewhat limited. Some federal lawmakers are campaigning to ensure the continued existence of CHIP, but there is still much uncertainty as to whether or not Congress will choose to reauthorize funding for the program.
